Cannabis stocks moved sharply higher after U.S. President Donald Trump publicly endorsed the use of cannabidiol (CBD) for senior healthcare. The president posted a video on his Truth Social account from the Commonwealth Project that highlighted CBD’s potential to “revolutionize senior healthcare” by slowing the progression of diseases and providing alternatives to prescription drugs.
Shares of leading cannabis firms, including Tilray Brands (NASDAQ:TLRY), Canopy Growth (NASDAQ:CGC), Cronos Group (NASDAQ:CRON), Aurora Cannabis (NASDAQ:ACB), and related ETFs rose by double digits following the announcement.
U.S.-listed shares of Canopy Growth (NASDAQ:CGC) gained ~17% on Monday, Tilray Brands (NASDAQ:TLRY) jumped as much as 60%, Cronos Group (NASDAQ:CRON) added 13% and Aurora Cannabis (NASDAQ:ACB) scaled 28%. Besides AdvisorShares Pure U.S. Cannabis ETF (NYSEARCA:MSOS), which tracks U.S.-listed cannabis stocks, Amplify Alternative Harvest ETF (NYSEARCA:MJ) gained more than 26%.
Other U.S. and Canadian cannabis companies, including Green Thumb Industries (OTCQX:GTBIF), Curaleaf Holdings (OTCPK:CURLF), and Trulieve (OTCQX:TCNNF), also saw considerable gains.
The video posted by Trump highlighted cannabidiol use for reducing pain and stress, improving sleep, and helping deal with health issues, including cancer symptoms and Alzheimer’s. The three-minute video has a Fox News segment outlining the financial advantages of legalizing marijuana for medical purposes. It says that this would amount to cost savings of “$64 billion a year if cannabis is fully integrated into the healthcare system.”
While calling ‘hemp-derived CBD’ a “game-changer”, the clip says that the endocannabinoid system can be “restored faster” through its use.
This post comes after Trump recently said that his administration was reviewing the possibility of reclassifying marijuana as a less dangerous drug.